Mallorca Real Estate Market UPDATE
Data for the third quarter of 2015 shows that Mallorca and the Balearic Islands as a whole recorded an annual price increase of 9.3%.
If you compare that to the Spanish national average of 2.7%, you get an idea of how the property market in Mallorca works and how it does so at a very different pace than the rest of the country.
This is not to say that the Spanish numbers are uniform. Some areas in Spain are doing much better than others and the national favorite is Galicia with an annual price increase of 13.3%, while the Basque Country and Navarre are suffering drops of up to -16.4%.
The bottom line is that the property market in Mallorca looks more vibrant and healthy than anywhere else in Spain.
Mallorca real estate market REPORTS
To get a really good picture of the Mallorca property market, we have looked at reports over the last 2 years and it appears that both prices and sales transactions in Mallorca properties have experienced a very significant increase.
After all this, there is one more factor that needs to be taken into account.
The real estate market in Mallorca is a two-tier market and the increase that we are seeing in property sales is very noticeable in the highest tiers of the luxury sector, high quality Mallorca properties in the most privileged areas and purchased by international buyers.
Mallorcan real estate market in POLLENSA
The real estate areas that outperform the rest of the island are concentrated primarily around Palma and in the northeast of Mallorca, in the Pollensa area.
It’s not very surprising either.
While the South has its obvious attractions; close to the airport, the capital, the Palma Yacht Club, the top golf courses etc. The area around Palma is also much more crowded and while Mallorca properties are at the top end in the more exclusive areas, the density alone takes over little off.
In the north-east, however, Mallorca’s property market is different and its sheer isolation is a luxury.
Of course, nothing is really remote on Mallorca. The island is just 3640km2 and the new motorway takes you from Pollensa to Palma Airport in 45 minutes, less than the average commute time in the UK!
Mallorca LUXURY real estate market
A word about Mallorca’s luxurious real estate market.
Diversity is the island’s best playing card. diversity in every form; geographically, culturally, socially… So while the south of the island continues to attract beer-soaked throngs of Brits and chicken night parties, the north of Mallorca has remained unyieldingly upmarket and Mallorca’s Pollensa property market reflects this.
However, the north of Mallorca has always attracted an eclectic audience, and artists and adventurers have long known the mountainous splendor of the Tramuntana villages and the Pollensa area. Some very illustrious residents also live here and the Mallorca real estate market in the region is not only exclusive.
Mallorca real estate market BUYERS
The attractiveness of real estate in the north is enormously boosted by the cosmopolitan residential community.
Foreign second home buyers and those looking to relocate or retire in Mallorca would be well advised to invest in Mallorca property in areas where they will have the added benefit of like-minded people and an active social life.
This is not to say that a property buyer moving to Mallorca does not mix with the local community, learn to speak the language and fully integrate into island life. You can, and you should definitely try. But it’s always nice to know that there are those who have already done it and are happy with their decision.